E-Commerce Adoption Factors in Saudi Arabia

Sulaiman A. Al-Hudhaif, Abdullah Alkubeyyer

Abstract

Some sectors in Saudi Arabia are slow in adopting eCommerce technologies for running their businesstransactions, and that is due to an internal set of factors (related to organizations) or an external set of factors(related to infrastructure and governmental support). We have noticed that most of the studies in this subjectcovered either internal factors or external factors, but not both. Moreover, most of the papers that studiedeCommerce adoption factors in developing economies center on the environmental, infrastructural andgovernmental areas only, and overlook the organizational factors, while the focus of the subject studied andresearched on developed economies was organizational (SMEs and large enterprises) related adoption factors byconsidering the technology infrastructure and government support as taken for granted, which is not the case indeveloping economies.The objectives of this study are 1) to find out the level of eCommerce adoption in Saudi Arabia, and 2) toidentify the factors that affect the adoption of eCommerce. By this, the output of the study can help the policymaker of ICT (Information and Communication Technology) in Saudi Arabia to direct the related activitiestoward the most effective local factors that will enable and leverage eCommerce potential and usage on one hand,and on the other hand the study will identify the promising local opportunities for eCommerce infrastructureproviders (local banks, system integrators, IT solution providers, and major telecom operators) by discoveringthe distinctive eCommerce adoption factors.

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